Getting a life and health insurance license is the first legal step to selling life policies and health-related coverage in your state. This guide covers what agents earn according to official wage data, the steps to get licensed this month, realistic cost and exam-prep ranges, and where live openings are right now. It also gives you an honest look at the downsides, because this is a career where the license is cheap and the hard part comes afterward. By the end, you should know whether to spend your time and money on it.
Data updated October 2026 using official wage statistics and live job listings.
Key facts
- Median annual pay for insurance sales agents: $62,280 (BLS OEWS, May 2025)
- Pay range (10th to 90th percentile): $37,330 to $138,140
- Mean annual pay: $81,480
- People employed in the occupation nationally: 479,100
- Live openings matching “life insurance agent” right now: 2,585 (Adzuna, October 2026)
Also read: How to Become an Insurance Agent in 2026: License, Exam & Pay
Table of Contents
What the license lets you do
An insurance license is issued by each state, not by the federal government. A life and health license (often called “life, accident and health” or a similar name, depending on the state) authorizes you to sell and advise on certain personal insurance products. Typically that means term and permanent life insurance, annuities in many states, and health-related coverage such as individual or supplemental health policies.
Naming and bundling vary. Some states issue one combined license, while others treat life and accident/health as separate “lines of authority” that each need their own exam. Your state’s Department of Insurance sets the rules, so confirm yours before you buy any course.
The license has limits. Selling variable products such as variable annuities usually requires a separate securities registration overseen by FINRA. Selling Medicare or marketplace health plans often requires extra carrier or federal certification on top of your state license. Plan on the basic license as your entry ticket, not your final credential.
What licensed agents earn
The Bureau of Labor Statistics tracks this work under “Insurance Sales Agents” (SOC 41-3021). Nationally, the median annual wage was $62,280 (BLS OEWS, May 2025), and 479,100 people held these jobs. The mean of $81,480 sits well above the median, which tells you that a minority of high earners pull the average up.
The spread is wide. The 10th percentile earned $37,330 while the 90th percentile earned $138,140. In commission-heavy sales, that gap usually reflects client base, tenure, product mix and how many hours you put into prospecting, not the license itself.
| Measure / state | Annual wage |
|---|---|
| National 10th percentile | $37,330 |
| National median | $62,280 |
| National mean | $81,480 |
| National 90th percentile | $138,140 |
| New Jersey (state median) | $81,640 |
| Massachusetts (state median) | $79,300 |
| New York (state median) | $78,110 |
| California (state median) | $76,120 |
| Pennsylvania (state median) | $73,370 |
| Colorado (state median) | $68,730 |
| Texas (state median) | $51,180 |
Two cautions when reading this table. First, the figures cover all insurance sales agents, including property and casualty, not just life and health. Second, higher state medians often come with higher living costs, so compare after-expense income, not headline pay. Texas shows the lowest median among the states listed in the data, yet it is still a large market.
How to get your life and health insurance license: step by step
Exact requirements differ by state, but the path usually looks like this. You can start step 1 today.
- Check your state’s rules. Visit your state Department of Insurance website and find the producer (agent) licensing page. Confirm minimum age (commonly 18), residency rules, whether pre-licensing education is required, and which lines of authority you need.
- Choose a pre-licensing course. If your state requires education, pick a provider approved by your Department of Insurance. Formats typically include self-paced online, live virtual, or classroom. Even where education is not mandatory, a course is the most reliable way to prepare.
- Complete the required hours. Required hours vary widely by state and by line, so check the official figure rather than trusting a course ad. Many people finish self-paced courses in one to three weeks of part-time study.
- Register for the state exam. Exams are usually delivered through a testing vendor named by your state (often PSI, Pearson VUE or Prometric). You schedule a time and pay the exam fee directly to them.
- Pass the exam. Expect a multiple-choice test with a national-style section and a state-specific law section. Passing scores differ by state, so check your candidate handbook.
- Submit your license application and background check. You typically apply through the state or through the National Insurance Producer Registry (NIPR), pay a license fee, and complete fingerprinting or a background check where required. Disclose any past criminal or financial issues honestly; some can be handled with an explanation.
- Get appointed. A license alone does not let you sell a carrier’s products. You must be “appointed” by an insurance company or contracted through an agency or marketing organization, which usually handles the paperwork for you.
- Plan continuing education. Licenses generally must be renewed every one to two years, usually with continuing education credits. Your state sets the details.
A realistic timeline from first research to an active license is often around two to six weeks if you study steadily, though background checks and state processing can add time. Rushing is the wrong goal. A failed exam means paying the fee again.
Costs and exam tips
The license is one of the cheaper professional credentials you can earn. Treat the ranges below as rough planning guidance, not quotes. Fees change, so check the official site for current fees before you pay.
- Pre-licensing course: often about $50 to $300 for self-paced online packages, and higher for live classes or bundles with extra practice exams.
- State exam fee: typically around $50 to $150 per attempt, paid to the testing vendor.
- Fingerprinting and background check: commonly a few dozen dollars up to roughly $100, depending on the state.
- License application fee: varies by state and by number of lines, often tens of dollars.
- Total: many candidates spend somewhere in the low hundreds of dollars, plus any retake fees.
Be wary of anyone who asks you to pay large “startup” or “training” fees to an agency before you have a contract. Legitimate carriers and agencies typically cover appointment costs. Ask clearly who pays for what, and get it in writing.
Exam tips that actually help
- Read the candidate handbook first. Your testing vendor publishes a content outline showing the topics and how many questions each covers. Study to that outline.
- Learn the vocabulary. Many missed questions come from confusing terms such as owner, insured, beneficiary, rider, and the difference between term and whole life.
- Take timed practice exams. Aim for consistent scores comfortably above the passing mark before you book. Review every wrong answer and write out why.
- Do not skip state law. The state-specific section is where well-prepared candidates often slip. Study your own state’s regulations on licensing, advertising and ethics.
- Be careful with free quiz sets. Searches like “life and health insurance license quizlet” turn up user-made cards that may be outdated or wrong. Use them as a supplement to an approved course, never as your main source.
- Book it soon after finishing your course. Information fades quickly. Scheduling within a week or two of completing the material works better for most people.
Where the jobs are right now
Adzuna’s live listings in the US showed 2,585 vacancies matching the title “life insurance agent” in October 2026. That count includes duplicate and multi-location postings, so treat it as a sign of demand, not a precise number of distinct employers hiring. The pack did not return a ranked list of top hiring employers, so I will not guess one.
A sample of current openings is below. All five come from a single agency posting across several locations, which is a reminder that many listings are recruiting ads for commission-based roles. Advertised pay in current listings is often estimated by the job site, so rely on the BLS figures above for earnings expectations.
Hiring now
- Life Insurance Agent – The Vigil Agency, South Erie, Erie County
- Life Insurance Agent – The Vigil Agency, West Indianapolis, Marion County
- Life Insurance Agent – The Vigil Agency, Chickamauga, Hamilton County
- Life Insurance Agent – The Vigil Agency, Sarasota, Manatee County
- Life Insurance Agent – The Vigil Agency, Spokane, Spokane County
Before you apply anywhere, ask these questions: Is the role salaried, commission-only, or a mix? Are leads provided, and who pays for them? Is the agency captive (one carrier) or independent (many carriers)? Does the agency offer mentorship, and how long is the ramp-up period? Verify the company with your state Department of Insurance and check that its agents are properly licensed.
Is this career right for you?
Pros
- Low barrier to entry. The license is quick and inexpensive compared with most professional credentials.
- High ceiling. The 90th percentile wage of $138,140 shows what experienced producers can reach.
- Flexibility. Many agents set their own schedule and can build a book of repeat and referral business over time.
- Meaningful work. Helping families protect income and cover health costs is real, valued work.
Cons
- Income can be unstable at first. The 10th percentile wage of $37,330 is a reminder that many people earn modestly, especially early on.
- Sales is the real job. Passing the exam is the easy part; finding and keeping clients takes steady prospecting and tolerance for rejection.
- Some roles are commission-only, with little or no base pay while you build a pipeline.
- Compliance matters. You are responsible for suitability, disclosures and continuing education, and mistakes can cost you your license.
This path tends to suit people who are comfortable with sales, self-directed, and able to cover living costs for several months while income ramps up. If you need a predictable paycheck from week one, look for salaried roles such as call-center or service positions, and treat the license as a way to move up later. No outcome is guaranteed, and results depend heavily on effort, market and support.
Frequently Asked Questions
Is it worth getting a life and health insurance license?
For many people, yes, because the upfront cost is typically low (often a few hundred dollars all in) and the credential opens sales roles. The median wage for insurance sales agents was $62,280 (BLS OEWS, May 2025), but the range is wide. It is worth it if you are ready to do sales; it is less so if you expect a guaranteed salary.
How hard is it to get a health and life insurance license?
The exam is manageable for most people who complete an approved course and take several timed practice tests. The content is mostly vocabulary, policy types and state regulations rather than advanced math. Pass rates and passing scores differ by state, so review your state’s candidate handbook and plan for a possible retake.
Is it hard to make money as a life insurance agent?
It can be hard in the first year, because most income comes from commissions and you must build a client base from scratch. BLS data show the 10th percentile at $37,330 and the 90th percentile at $138,140, which illustrates how much results vary. Agents who get strong training, follow up consistently and build referrals tend to do better, but nothing is guaranteed.
How do I get my life insurance license in California?
Start with the California Department of Insurance, which sets the pre-licensing education, exam, fingerprinting and application requirements. California may treat life and accident/health authority as separate lines, so confirm what you need for each. Then complete an approved course, pass the exam through the state’s testing vendor, and submit your application. California’s median wage for these agents was $76,120 (BLS OEWS, May 2025).
How can I check whether an agent is licensed?
Most states let you look up a producer’s license on the Department of Insurance website, and the National Insurance Producer Registry (NIPR) offers lookup tools as well. Searches such as “life and health insurance license lookup” usually lead to these official pages. Use only official sources to verify a license, and never pay a third party for a lookup.
Sources
- U.S. Bureau of Labor Statistics, Occupational Employment and Wage Statistics (OEWS), May 2025, SOC 41-3021 – https://www.bls.gov/oes/
- Adzuna live job listings (US), retrieved October 2026
- Your state Department of Insurance (licensing requirements, fees and license lookup)
- National Insurance Producer Registry (NIPR)
- Your state’s designated exam vendor (such as PSI, Pearson VUE or Prometric) for current exam fees and content outlines
- FINRA (for securities registrations needed to sell variable products)
Start by checking your state Department of Insurance page this week, and you can have a license in hand within a few weeks.
